TMI Blog2018 (1) TMI 1058X X X X Extracts X X X X X X X X Extracts X X X X ..... service - appellants are liable to tax under 'Business Auxiliary Service'. Time Limitation - Held that: - the issue involved is certainly one of interpretation. It is also to be noted that appellant acquired business from M/s.Sovereign Media marketing (P) Ltd. who was never subjected to service tax for the same activities. This admittedly led to bonafides of the appellant - extended period and penalty cannot be invoked. Appeal allowed in part. - Appeal No.ST/78/2010 - FINAL ORDER No. 40168 / 2018 - Dated:- 22-1-2018 - Ms. Sulekha Beevi C.S. Member (Judicial) And Shri B. Ravichandran, Member (Technical) Shri J. Shankarraman, Advocate Shri S.Sivaramakrishnan, Advocate For the Appellant Shri K. Veerabhadra Reddy, JC (AR) F ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not involving in any promotional activity of services on commission basis. They getting only a fixed retainership fee from the clients and they do promote advertising activity of the clients. Ld. counsel contested the demand on limitation also. He submits that show cause notice dt. 24.4.2008 is issued invoking extended period. As narrated above, the whole activity of the appellant is subject matter of clarification and further clarification of the Board and now a new tax levy under BAS is confirmed against them though they are essentially involved in the activities with reference to advertisement, though not as an advertising agency. He pleaded that there is case for interpretation of statute and as such no malafide can be attributed to su ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the services of clients. Such service on the part of the client is exempted by itself will not make the appellant as not providing any taxable service. The overall ambit of Business Auxiliary Service which includes promoting or marketing of services provided by the client, is clear enough to cover the activities of the appellant. As such we hold that appellants are liable to tax under 'Business Auxiliary Service'. 4. However, appellant's case against limitation has considerable force. The appellants are engaged in a singular activity of promoting advertising in the client's publication. It is clearly possible that same could have been considered as part of auxiliary advertising agency service, a bona fide belief entertai ..... X X X X Extracts X X X X X X X X Extracts X X X X
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